Midday Fly By: Netflix reports Q4 beat, Smithfield to acquire Nathan’s

The major averages were broadly higher at noon in a bounce-back from yesterday’s sharp selloff, though sentiment remains fragile. Markets are trading in a volatile and unsettled environment as traders digest significant geopolitical and trade policy risks that have dominated headlines this week.

Of note, U.S. President Donald Trump said at the World Economic Forum in Davos that he won’t use excessive force to acquire Greenland and that he is seeking immediate talks on the matter. The news comes as Bloomberg reported that the European Union has delayed a vote on ratifying a trade agreement with the U.S.

Looking to commodities, gold prices continue to skyrocket to record highs, crossing the $4,800 threshold and inching towards the $4,900 mark. Oil prices were fractionally higher near noon, meanwhile, ahead of the API crude numbers set for release this afternoon.

Get caught up quickly on the top news and calls moving stocks with these five Top Five lists.

1. STOCK NEWS:

• Netflix (NFLX) reported better-than-expected Q4 results and provided FY26 revenue guidance, but said it will pause share buybacks to help fund its pending Warner Bros. (WBD) acquisition
• Johnson & Johnson (JNJ) reported upbeat Q4 results but provided a somewhat conservative FY26 outlook
• United Airlines (UAL) reported better-than-expected Q4 earnings and revenue and provided guidance for Q1 and FY26
• Smithfield Foods (SFD) agreed to acquire Nathan’s Famous (NATH) for $102 per share in cash
• President Trump said at the World Economic Forum in Davos that he won’t use excessive force to acquire Greenland

2. WALL STREET CALLS:

• Oklo (OKLO) upgraded to Buy at BofA after Meta (META) deal
• Biohaven (BHVN) upgraded to Outperform at RBC Capital
• Citi upgraded Abercrombie & Fitch (ANF) on favorable risk/reward post selloff
• Arm (ARM) upgraded to Positive at Susquehanna following underperformance
• Craig-Hallum downgraded Flutter (FLUT) to Hold on accumulating transitory headwinds

3. AROUND THE WEB:

• Snap (SNAP) has agreed to settle a tech addiction lawsuit ahead of a landmark trial alleging social media companies engineered addictive products that harm young users, NY Times says
• Nvidia (NVDA) CEO Jensen Huang is planning to travel to China in late January to attend company parties and potentially meet with senior Chinese officials, Bloomberg reports
• U.S. Treasury Secretary Scott Bessent said Deutsche Bank (DB) CEO Christian Sewing told him the bank does not agree with an analyst report suggesting European investors may drop U.S. assets, Reuters reports
• According to Chief Technology Officer, CTO, Andrew Bosworth, Meta’s (META) new AI lab has internally delivered its first AI models, Reuters says
• Kerrisdale Capital, in a research note, says the firm is short shares of Affirm (AFRM), a “Buy Now, Pay Later” lender built “on the same subprime playbook that has undone monoline consumer finance companies for decades.”

4. MOVERS:

• Progress Software (PRGS) higher after reporting Q4 results and providing guidance for Q1 and FY26
• Lucid Group (LCID) increases after Rockwell Automation (ROK) announced it will power the company’s manufacturing facility in Saudi Arabia
• Lexicon (LXRX) gains after completing the End-of-Phase 2 meeting with U.S. FDA for pilavapadin
• Ocugen (OCGN) lower after announcing a 15M share offering
• Erasca (ERAS) lower after announcing a $150M share offering

5. EARNINGS/GUIDANCE

• TE Connectivity (TEL) reported Q1 results, with EPS and revenue beating consensus
• Citizens Financial (CFG) reported Q4 results, with CEO Bruce Van Saun commenting, “We are pleased to report good Q4 and full year results that reflect strong execution of our key growth initiatives”
• Teledyne (TDY) reported Q4 results and provided guidance for Q1
• Travelers (TRV) reported Q4 results and provided guidance for FY25, with CEO Alan Schnitzer commenting, “We are pleased to report excellent fourth quarter and full year results”
• Dana (DAN) narrowed its guidance for FY25 and provided its outlook for FY26

INDEXES:

Near midday, the Dow was up 0.60%, or 288.53, to 48,777.12, the Nasdaq was up 0.21%, or 49.12, to 23,003.44, and the S&P 500 was up 0.41%, or 27.59, to 6,824.45.